Stock / Symbol: Peloton / PTON
Strategy: Bull Put Spread
Trade entry date / price: 10 Mar 2021 / $112.70
Trade exit date / price: 22 Mar 2021 / $109.80
Update: My exit order for a debit of $0.15 was filled yesterday at 8:07 am PST, locking in a 9% gain from a 13 day trade. Nice to turn a profit from this Bull Put spread, a long Delta position, with the underlying moving down from the entry point.
Position Summary:
Short 1 PTON 26Mar21 95 put
Long 1 PTON 26Mar21 90 put
In at a net credit of $0.55, out for net debit of $0.15 per contract, for a net profit of $0.40 per contract.
Analysis:
Max Risk: $445
Max Reward: $55 or 12% with PTON at/over $95 on Mar 26th
Profit Range: PTON at/over $94.50 at market close on Mar 26th
Commission (round trip): $2.60
Downside Stop at: $95
Realized Profit / Loss upon fill: $40 or 9% (pre commission)
